Impact of Food Brand Controversy on Consumers’ Attitude Toward Brand and Company |
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Authors: | Saikat Banerjee |
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Institution: | Department of Marketing, Indian Institute of Foreign Trade, Kolkata, West Bengal, India |
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Abstract: | It is critical to understand the impact of controversy on the consumer. There is a scarcity of research measuring post-controversy consumer attitude on both product and corporate brand during a controversy. The study is based on a recent brand controversy linked with instant noodle brand “Maggi” in India. The study examines impact on brand perceived quality, credibility, trust and loyalty, and attitude about brand and company. Data have been collected during July–October 2015 when the brand Maggi was banned in India due to quality-related controversy. Results indicate that respondents, with higher post-controversy brand loyalty, hold positive attitudes about brand. The interaction effect reveals that the relationship is significant and positive. During controversy, consumers’ attitude about brand and company is not identical. For a strong brand, consumers may have positive attitude but they become quite negative about company. |
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Keywords: | Brand controversy food brand brand trust brand loyalty brand credibility hierarchical regression |
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